The High Court of Karnataka has ordered issue of notice to the Central Bureau of Investigation (CBI) on a petition filed by K.C. Veerendra, a member of the Janata Dal(S), challenging a criminal case registered against him for alleged illegal exchange of demonetised notes.
Mr. Veerendra, who operates casinos in Goa, claimed that the CBI could not have registered the case under the Prevention of Corruption Act against him as the investigating agency has not identified the accused bank officers, with whom he allegedly conspired for exchange of notes illegally as per the allegation made by the CBI in the first information report.
‘Not an offence’
Referring to the seized ₹5.76 crore cash, all in the denomination of ₹2,000, by the Income Tax Department from his house in Challakere, Chitradurga district, the petitioner said he got these currencies exchanged through persons known to him while contending that mere violation of Reserve Bank of India’s guideline on exchange of currencies cannot constitute an offence.
Justice John Michael Cunha adjourned further hearing.
